Affordable housing
A compelling opportunity to address the undersupply and growing demand for homes, helping in delivering a positive impact.
Our approach to affordable housing
Our approach focuses on long‑term investment, high‑quality design, and partnerships that seek to deliver homes where they’re needed most. We aim to create sustainable, inclusive communities that remain genuinely affordable.
L&G’s Affordable Housing portfolio is comprised of social and affordable rent properties and shared ownership homes. We’ve been investing in the sector since 2018, deploying £1 billion. Our portfolio includes over 9,000 homes either operational or in development.
The requirement for more accessible housing is clear. 145,000 affordable homes need to be built every year to address domestic housing needs – the UK has delivered just c.50,000 p.a. over the last 10 years1.
Visit the L&G Affordable Homes website to learn more.
Case studies
Highworth Road, Shrivenham, Oxfordshire
- 78-acre site in Shrivenham, Oxfordshire
- High-quality residential development offering 2 & 3 bedroom homes designed to complement the neighbouring village
- 16 affordable rented homes to date
Case study shown for illustrative purposes only. The above information does not constitute a recommendation to buy or sell any security.
Colindale Gardens, Barnet, North London
- 311 homes, all at social rent levels, in an area with more than 5,000 households on the local authority waiting list
- L&G is moving more than 500 children into a new home, where we’ve instructed additional finishes such as blinds and curtains that are not standard in affordable housing
- The scheme also delivered an unprecedented 22 wheelchair-accessible homes
Case studies shown for illustrative purposes only. The above information does not constitute a recommendation to buy or sell any security.
Case studies shown for illustrative purposes only. The above information does not constitute a recommendation to buy or sell any security.
Create long-term investment opportunities
What enables L&G to deliver housing at scale across the UK?
As a leading direct investor, developer, and operator of residential property, L&G delivers housing at scale by combining long-term institutional capital with strong partnerships across local authorities, developers, and housing providers. This allows us to accelerate delivery, creating high-quality homes in the places that need them most. We’re proud to have one of the largest and most diverse housing platforms in the UK2.
We are uniquely placed to tackle the housing crisis and deliver the homes needed given our broad expertise – from investment management through to the development and operation of assets.
Our commitment to investing in – and delivering – housing reflects the opportunity to potentially generate steady, inflation-linked returns while working towards positive social impact within local communities.
How are we working with partners to deliver affordable housing?
Click here to learn more about our partnership with Greater Manchester Pension Fund (GMPF) partnership and watch the short video overview.
Investment strategies for affordable housing
In July 2024, we launched our L&G Affordable Housing Fund and, in March 2026 we received new commitments to invest in affordable housing nationally, raising a total of £770m* to date.
The Fund aims to positively impact hundreds of people's lives, focusing on equity and affordability as its core social priority, with an ambition to deliver over 5,000 homes by 2030. 
To learn more about the Fund, read the latest on our newsroom.
António Simões
Group CEO, Legal & General
"With acute demand for affordable housing across the UK, the public and private sector need to work together to drive change. This Fund builds on L&G's ambition to scale our private markets platform and catalyse our own balance sheet investments by offering our clients new investment opportunities that aim to deliver compelling financial returns while tackling real-world challenges."
Meet the team
Ali Farrell
Fund manager, L&G
Freddie Coleman
Director Private Markets Distribution, L&G
News and insights
L&G achieves highest regulatory ratings across all Registered Providers
Greater Manchester Pension Fund partners with Legal & General to deliver affordable housing in North West England
Hyde Group and L&G launch partnership to deliver more affordable homes
Barratt London Agree Sale of 311 Affordable Homes at Colindale Gardens to L&G
Private Markets overview
Our affordable housing portfolio includes social rent, affordable rent, and shared ownership homes. We have been investing in the sector since 2018 and now have over 9,000 homes in operation or development, supported by more than £1 billion in investment ³.
The UK faces a significant housing shortfall: around 145,000 affordable homes are needed each year, yet only c.50,000 have been delivered annually over the past decade¹. This imbalance creates a strong demand backdrop. Affordable housing also offers the potential for steady, inflation-linked returns while delivering meaningful social impact.
L&G is one of the UK’s largest and most diverse residential investors, developers, and operators². Our platform spans build‑to‑rent, single‑family housing, student accommodation, strategic land, and affordable housing. The platform benefits from long-standing relationships with local authorities, Homes England, the GLA and a broad network of housebuilders, providing strong access to Section 106 and grant-funded opportunities that directly add to housing supply. This combination of delivery capability, partnerships and embedded ESG and impact governance enables institutional capital to be deployed efficiently into a sector-facing acute structural undersupply³.
Launched in July 2024, the L&G Affordable Housing Fund enables institutional investors to support the delivery of new affordable homes across the UK. As of April 2026, the Fund has raised £770 million and aims to deliver over 5,000 homes by 2030*.
Investors can participate through our Affordable Housing Fund or by partnering with us on regional housing initiatives – such as our collaboration with the Greater Manchester Pension Fund to deliver more affordable homes across the North West. To explore opportunities, investors can contact our team directly via the enquiry form on the website.
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Sources:
1. L&G, Delivering a Step Change in Affordable Housing Supply, March 2022.
2. L&G has invested £1bn in affordable housing since the business was established in 2018.
*L&G as at 31 December 2024.
Key risks
The value of an investment and any income taken from it is not guaranteed and can go down as well as up, and the investor may get back less than the original amount invested.
Whilst L&G has integrated Environmental, Social, and Governance (ESG) considerations into its investment decision-making and stewardship practices, this does not guarantee the achievement of responsible investing goals within funds that do not include specific ESG goals within their objectives.
The risks associated with each fund or investment strategy should be read and understood before making any investment decisions. Further information on the risks of investing in this fund is available in the prospectus here.
It should be noted that diversification is no guarantee against a loss in a declining market.